On Apr. 9, AUT FMA issued draft for opinions on amendment of plan.
AUT FMA issued a draft for opinion on amendment of Bank Recovery Plan Ordinance.
Amendments Overview
The amendments to the Bank Recovery Plan Ordinance (BaSaPV), Gazette II 25/2015, amended by Ordinance, Gazette II 76/2016, is now being amended to reflect changes.
The changes reflect amendments to EU legislation and requirements and include 350 million euros reference as being replaced by reference to 500 million euros, as trigger.
Confirms requirements for Common Equity Tier 1 capital ratio, as set out in CRR Reg 575/2013, as well as the leverage ratio and the structural liquidity ratio requirements.
Confirms the required indicators under Restructuring and Resolution Act (BaSAG), by CRR investment firms pursuant to Section 2 (3) in terms of the ratio requirements that are to be included in the recovery plan documentation, as part of information needed.
Changes are also made to the sections on Time of first submission of the restructuring plan, and on the required Timing and frequency of updating the restructuring plan.
Timings include a note firms in categories 1, 2 and 3 that had to submit a restructuring plan before Jan. 1, 2025, must submit this for first time by Dec. 31, 2026 at the latest.
In case of companies in category 3, be updated and submitted again by Dec. 31, 2025.
Also, the section relating to References also contains a number of changes to the text.
AUT FMA also issued a letter on consultation process to various bodies to seek input.
Effectiveness
Comments on the draft ordinance can be made by stakeholders, until May 7, 2025.
